Executives who implement a new enterprise resource planning system inevitably are disappointed with it at first, says ERP expert Eric Kimberling of Panorama Consulting. But those who develop a solid business case before moving forward with the implementation will come to recognize its long-term benefits, he notes.

Expanding on his firm’s white paper “Everything You Need to Know About Digital Transformation,” Kimberling explains that clarifying the reasons behind adopting ERP smooths the way to a successful deployment.

Too many companies instead neglect their enterprise software to the breaking point before deciding to upgrade, making improvements under the stress of necessity instead of projecting expected returns on the investment.

Instead, Kimberling urges companies to define and quantify exactly what the investment is expected to accomplish. Simply acknowledging that technology has disrupted the industry, forcing your hand, isn’t enough.

Respondents to Panorama’s 2017 ERP Report who failed to measure key parameters before beginning an implementation reported the least satisfaction with their new ERP systems. You can’t achieve what you don’t measure, he warns.

Even with good planning and measurements beforehand, it can take months or even years to see an ERP system’s full potential. Understanding where things are taking too long, however, opens the door for relatively simple solutions, including refresher training on how to make the most of the system, modifying how data is being used, or altering business processes to take better advantage of lessons learned.

Thinking through and drafting a clear business case for ERP implementation before selecting a system manages the risks inherent in such an investment, Kimberling notes. Only teams that share expectations from the outset can clarify where they need to customize the implementation and where standardized solutions will suffice.

“‘Because you have to’ isn’t a good enough reason to embark on a digital transformation,” Kimberling says. “It is important that you define and quantify the exact business benefits that you expect to realize from your digital investments . . . (and) hold your team accountable for realizing the expected business benefits and achieving the ROI that you would like to see.”

Key Takeaways:

• Clarity on why you’re implementing a new ERP system helps to assure success.

• Failed implementations often begin when a project originates with the stress of failing older systems.

• Measure parameters before, during and after implementation to keep things on track.